Carbon tax programs

Last updated on April 2, 2024

The carbon tax supports a low carbon economy for now and for the future – one that works for all people throughout British Columbia. B.C. has programs for individuals and businesses to help keep the carbon tax affordable, and provides opportunities to make lower carbon choices.

The amount of carbon tax paid by British Columbians will vary depending on family consumption and household use of taxable fuels for heating, cooking and transportation.

To improve affordability, the government has increased the Climate Action Tax Credit for households.

This credit is available to low- and moderate-income individuals and families to help offset the impact of carbon taxes.

For businesses and organizations

There are increasing opportunities for businesses and organizations to participate in the low carbon economy. The carbon tax provides a signal across the market to encourage innovation and support the transition to a lower carbon future.

Government launched the CleanBC Program for Industry in 2019. The program is designed to help keep industries competitive as they innovate to cut emissions.

Currently, the CleanBC Program for Industry includes both the CleanBC Industry Fund (CIF) and the Clean BC Industrial Incentive Program (CIIP). In 2024, CIIP will be replaced by a newly created B.C. output-based pricing system (B.C. OBPS).

Commercial greenhouses are unique in requiring carbon dioxide as an input in production. The Greenhouse Carbon Tax Relief Grant has been available to qualified commercial greenhouses, covering a portion of the carbon tax paid on natural gas and propane used for greenhouse heating and CO2 production. This program underwent a transition in 2023 and is replaced by a partial exemption from carbon tax for greenhouse growers.

Carbon tax for businesses

Carbon tax applies to the purchase or use of fuels such as gasoline, diesel, natural gas, heating fuel, propane and coal, unless a specific exemption applies.

Learn more about paying carbon tax as a business.

Contact information

Contact the Consumer Taxation Branch with your questions about carbon tax programs.